Zug Crypto Valley could be a model for Crimea

Boris Titov, the Russian business-ombudsman, has proposed the creation of a region in the Crimea similar to the “kriptodoliny” (Cryptovalley) in Zug, Switzerland for funding cryptocurrency and blockchain organizations, according to Rambler News Service. “Maybe we can make a Crypto Valley Crimea,” Titov said.

This initiative was talked down during the Russian science-practical forum called “Blockchain: dialog between business and government” on the 13th of April in Moscow.

In his opinion, it might be a tremendous step forward in helping to finance the region, which is isolated from banking services because of sanctions; Crimea infact, has been the center of a conflict between Russia and the Ukraine that has drawn sanctions by numerous countries, including the United States.

The country, formerly Ukrainian territory, should create opportunities for foreign investors to invest in bitcoin by removing restrictions on such investments, he said, and the country can use blockchain to develop its economy.

Titov is the leader of Russia’s Party of Growth which, widely regarded as a pro-Kremlin party, has found itself in opposition to the presidential administration on several issues.

Zug’s based Crypto Valley was created because of the lowest in Switzerland tax regulations. Also, local authorities introduced, last year, the pilot program to embrace the cryptocurrency by initially limiting bitcoin payments’ equivalent to 200 Swiss Francs for municipal services.

Ethereum Organization’s headquarters situated in Zug. There are also some other Blockchain companies which have offices in Zug’s territory.

Earlier, a member of the security and anti-corruption committee of the Russian State Parliament Andrey Lugovoy said, that the law which will identify the status of cryptocurrencies in Russia will likely be initiated in 2017.